Write-Off item from a Stock

Hello,

For example, I have 10 items “AA” in the warehouse “WH”.
1 item “AA” is now broken and is impossible to sell, so I need to write off this item and its value.

What steps should I take in ERPNext?
I expect that the Stock Balance of this Item will decrease.

First create warehouse names like damaged items.
Create stock entry type as material transfer from your warehouse to damaged warehouse for particular batch or serial no( if batch or serial no applicable means)
Can you please elaborate your realtime action for this kind of scenarios

@Intarsz Kindly Perform stock reconciliation.

Thanks